(RTTNews) - Canadian shares are likely to turn in a mixed performance on Monday with investors following Middle East news and reacting to the trend in the commodities markets. Iran-Israel strikes could weigh on sentiment and limit market's upside.
According to reports Israel retaliated against Iran's missile attacks Monday by targeting its military sites and a petrochemical plant. For the first time since the US-Iran ceasefire in April, Israel and Iran exchanged fire in the worst strikes in months.
Israeli Prime Minister Benjamin Netanyahu approved the strikes reportedly defying US president Donald Trump's warning not to do so at a time he said a deal with Iran is "very close."
Iran's state media IRIB reported that Iran launched a series of missiles toward northern parts of Israel, and described it as "the beginning of a full week of continuous strikes."
Claiming responsibility for the attacks, Yemen's Iran-backed Houthis said that it launched "a missile barrage targeting sensitive Israeli enemy targets," and "achieved their objectives with precision."
West Texas Intermediate Crude oil futures are up $1.17 or 1.29% at 91.71 a barrel, off an early high of $95.47.
Gold futures are down $11.90 or 0.27% at $4,353.40 an ounce, while Silver futures are down $0.473 or 0.68% at $68.633 an ounce.
The Canadian market closed sharply lower on Friday amid expectations of tighter monetary policy for an extended period following upbeat jobs data from Canada and the U.S. Profit taking contributed as well to market's sharp drop.
The benchmark S&P/TSX Composite Index ended the session with a loss of 803.42 points or 2.28% at 34,413.64.
Asian markets declined on Monday as a selloff in tech shares gathered momentum following Broadcom's disappointing AI outlook.
Markets were also spooked by higher bond yields and interest rate worries after U.S. jobs data for May blew past expectations.
The major European markets are down in negative territory, hurt by higher bond yields, Middle East tensions and rising oil prices.
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